Evaluating Classification Performance

Evaluating Classification Performance

Data Mining

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Why Evaluate?

• Multiple methods are available for classification

• For each method, multiple choices are available for settings (e.g. value of K for KNN, size of Tree of Decision Tree Learning)

• To choose best model, need to assess each model’s performance

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Basic performance measure:Misclassification error

• Error = classifying an example as belonging to one class when it belongs to another class.

• Error rate = percent of misclassified examples out of the total examples in the validation data (or test data)

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Naive classification Rule

• Naïve rule: classify all examples as belonging to the most prevalent class• Often used as benchmark: we hope

to do better than that• Exception: when goal is to identify

high-value but rare outcomes, we may do well by doing worse than the naïve rule (see “lift” – later)

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Confusion Matrix

201 1’s correctly classified as “1” - True Positives25 0’s incorrectly classified as “1” - False Positives85 1’s incorrectly classified as “0” - False Negatives2689 0’s correctly classified as “0”- True Negatives

We use TP to denote True Positives .Similarly , FP, FN and TN

Actual Class 1 01 201 850 25 2689

Predicted ClassClassification Confusion Matrix

Error Rate and Accuracy

Error rate = (FP + FN)/(TP + FP + FN + TN)

Overall error rate = (25+85)/3000 = 3.67%Accuracy = 1 – err = (201+2689) = 96.33%If multiple classes, error rate is: (sum of misclassified records)/(total records)

Actual Class 1 01 201 850 25 2689

Predicted ClassClassification Confusion Matrix

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TP = FN= FP = TN

=

Cutoff for classification

Many classification algorithms classify via a 2-step process:For each record,

1. Compute a score or a probability of belonging to class “1”2. Compare to cutoff value, and classify accordingly

• For example, with Naïve Bayes the default cutoff value is 0.5

If p(y=1|x) >= 0.5, classify as “1”If p(y=1|x) < 0.50, classify as “0”• Can use different cutoff values• Typically, error rate is lowest for cutoff = 0.50

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Cutoff Table - exampleActual Class Prob. of "1" Actual Class Prob. of "1"

1 0.996 1 0.5061 0.988 0 0.4711 0.984 0 0.3371 0.980 1 0.2181 0.948 0 0.1991 0.889 0 0.1491 0.848 0 0.0480 0.762 0 0.0381 0.707 0 0.0251 0.681 0 0.0221 0.656 0 0.0160 0.622 0 0.004

• If cutoff is 0.50: 13 examples are classified as “1” • If cutoff is 0.75: 8 examples are classified as “1”• If cutoff is 0.25: 15 examples are classified as “1”

Confusion Matrix for Different Cutoffs

Predicted class 0

Predicted class 1

1 11 Actual class1

8 4 Actual class0

Cutoff probability = 0.25Accuracy = 19/24

Cutoff probability = 0.5 (Not shown)Accuracy = 21/24

Cutoff probability = 0.75Accuracy = 18/24

Predicted class 0

Predicted class 1

5 7 Actual class1

11 1 Actual class0

Lift

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When One Class is More Important• In many cases it is more important to identify

members of one class• Tax fraud• Response to promotional offer• Detecting malignant tumors

• In such cases, we are willing to tolerate greater overall error, in return for better identifying the important class for further attention

Alternate Accuracy Measures

• We assume that the important class is 1

Sensitivity = % of class 1 examples correctly classifiedSensitivity = TP / (TP+ FN )

Specificity = % of class 0 examples correctly classifiedSpecificity = TN / (TN+ FP )

True positive rate = % of class 1 examples correctly as class 1 = Sensitivity = TP / (TP+ FN )

False positive rate = % of class 0 examples that were classified as class 1 = 1- specificity = FP / (TN+ FP ) 12

Predicted class 0

Predicted class 1

FN TP Actual class =1

TN FP Actual class =0

ROC curve• Plot the True Positive Rate

versus False Positive Rate for various values of the threshold

• The diagonal is the baseline – a random classifier

• Sometimes researchers use the Area under the ROC curve as a performance measure – AUC

• AUC by definition is between 0 and 1

Lift Charts: Goal

Useful for assessing performance in terms of identifying the most important class

Helps evaluate, e.g.,– How many tax records to examine– How many loans to grant– How many customers to mail offer to

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Lift Charts – Cont.Compare performance of DM model to “no model, pick randomly”

Measures ability of DM model to identify the important class, relative to its average prevalence

Charts give explicit assessment of results over a large number of cutoffs

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Lift Chart – cumulative performance

For example: after examining 10 cases (x-axis), 9 positive cases (y-axis) have been correctly identified

02468

101214

0 10 20 30

Cum

ulati

ve

# cases

Lift chart (training dataset)

Cumulative Ownership when sorted using predicted values

Cumulative Ownership using average

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Positives# Positives

# Positives

Lift Charts: How to Compute

• Using the model’s classification scores, sort examples from most likely to least likely members of the important class

• Compute lift: Accumulate the correctly classified “important class” records (Y axis) and compare to number of total records (X axis)

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Asymmetric Costs

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Misclassification Costs May Differ

The cost of making a misclassification error may be higher for one class than the other(s)

Looked at another way, the benefit of making a correct classification may be higher for one class than the other(s)

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Example – Response to Promotional Offer

• Suppose we send an offer to 1000 people, with 1% average response rate

(“1” = response, “0” = nonresponse)

• “Naïve rule” (classify everyone as “0”) has error rate of 1%, accuracy 99% (seems good)

• Using DM we can correctly classify eight 1’s as 1’s• It comes at the cost of

misclassifying twenty 0’s as 1’s and two 1’s as 0’s.

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The Confusion Matrix

Predict as 1 Predict as 0Actual 1 8 2Actual 0 20 970

Error rate = (2+20) = 2.2% (higher than naïve rate)

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Introducing Costs & Benefits

Suppose:• Profit from a “1” is $10• Cost of sending offer is $1Then:• Under naïve rule, all are classified as “0”, so no offers are

sent: no cost, no profit• Under DM predictions, 28 offers are sent.

8 respond with profit of $10 each20 fail to respond, cost $1 each

972 receive nothing (no cost, no profit)

• Net profit = $60

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Profit Matrix

Predict as 1 Predict as 0Actual 1 $80 0Actual 0 ($20) 0

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Lift (again)

• Adding costs to the mix, as above, does not change the actual classifications.

• But it allows us to get a better decision (threshold)– Use the lift curve and change the cutoff value

for “1” to maximize profit

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Adding Cost/Benefit to Lift Curve

• Sort test examples in descending probability of success

• For each case, record cost/benefit of actual outcome

• Also record cumulative cost/benefit• Plot all recordsX-axis is index number (1 for 1st case, n for nth case)Y-axis is cumulative cost/benefitReference line from origin to yn ( yn = total net benefit)

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Lift Curve May Go Negative

If total net benefit from all cases is negative, reference line will have negative slope

Nonetheless, goal is still to use cutoff to select the point where net benefit is at a maximum

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Negative slope to reference curve

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Zoom inMaximum profit = 60$

Multiple Classes

• Theoretically, there are m(m-1) misclassification costs, since any case could be misclassified in m-1 ways

• Practically too many to work with

• In decision-making context, though, such complexity rarely arises – one class is usually of primary interest

For m classes, confusion matrix has m rows and m columns

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Classification Using Triage

• Instead of classifying as C1 or C0, we classify asC1

C0

Can’t say

The third category might receive special human review

Take into account a gray area in making classification decisions

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